The research analyzes the effectiveness and the supporting and inhibiting factors of the DD program in relation to poverty in coastal households in Wakatobi Regency. This study uses a qualitative approach. The villages taken purposively were the villages that had the largest number of poor families in the South Wangi-Wangi District. Informants were selected by purposive and snowball sampling. The DD program which is directed at efforts to deal with coastal poverty in Mola Nelayan Bakti Village is "less effective", Komala Village is "fairly effective", and Liya Togo Village is "less effective". Factors that support the effective use of village funds (DD) in handling poverty are related to clear policies (laws and regulations) in providing operational direction for program implementation, targeting DD allocations, and proper program planning. The next result is that the things that hinder the effective use of DD are from the community itself, including the habit of being indifferent to the community, lack of disclosure of planning information, community participation (low); and human resources in the village are still low.